Spend till it hurts:

TOKYO — Richard Koo has a message for G20 leaders gathered in Washington to deal with the global financial crisis: spend, spend big, spend till it hurts and when you are tired of spending, spend some more.

Mr. Koo has devoted much of his career to studying how Japan coped with its own financial crisis in the 1990s. He says the lesson is clear.

“Japan has proved to the world that you can use fiscal policy to keep GDP from falling,” Mr. Koo, chief economist for Japan's Nomura Research Institute, said in an interview at his Tokyo office. “And that lesson is a big one for mankind.”

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